Intrusion's Q1 Earnings on Deck: Here's What Investors Should Expect

Intrusion Inc. INTZ is scheduled to report first-quarter 2025 results  on April 29, after the closing bell. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.) 

The Zacks Consensus Estimate for revenues is pegged at $1.7 million, indicating an increase of 46.5% from a year ago.

The Zacks Consensus Estimate for the fourth-quarter bottom line is pegged at a loss of 18 cents per share, unchanged in the past 30 days. The company incurred a loss of 94 cents per share in the year-ago quarter.

INTZ’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, while lagging once, with the average surprise being 4.7%. Shares of the company have lost 36.3% in the past year against the Zacks Computer-Networking industry's growth of 16.7%.

Key Drivers of INTZ’s Q1 Performance

Strong business pipeline activities driven by upbeat demand for INTZ’s cybersecurity solutions, especially in the United States and in the broader Asia Pacific region, are likely to have cushioned the company’s top-line performance in the first quarter. INTZ is working to launch its Shield Cloud product on the AWS Marketplace, a platform that has driven significant growth for many similar companies.

Bolstering its product line with Intrusion Shield Sentinel, a next-generation cybersecurity solution designed for large-scale network environments and Intrusion Shield Command Hub, a cutting-edge AI-powered cybersecurity solution aimed at improving threat detection and response, is likely to have acted as a key catalyst. Initial feedback on Shield Sentinel has been positive, and INTZ delivered more units during the first quarter to its first paying customer, thereby driving the top-line momentum.

The company has launched new sales and marketing efforts to boost growth. As revenue rises, it may invest more in these areas and product development, raising costs, while undertaking a cautious spending approach. Its expanding footprint in the government sector is a tailwind. Management expects Intrusion Shield’s ongoing strong performance to aid financial results for the first quarter of 2025 and beyond.

INTZ’s disciplined cost management with the reduction of 16 permanent roles, using fewer contractors and switching to more affordable sales and marketing services is likely to have lowered expenses in the quarter under review. In fourth-quarter 2024, total operating expenses went down 8.8% year over year to $3.2 million.

Intrusion Inc. Price and EPS Surprise

Intrusion Inc. price-eps-surprise | Intrusion Inc. Quote

However, rising R&D investment to improve its offerings and aid customers in tackling evolving cybersecurity challenges while attracting new ones, is likely to have weighed on its margins.

What Does Our Model Predict for INTZ?

Our proven model does not predict an earnings beat for INTZ this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat. This is not the case here.

INTZ has an Earnings ESP of 0.00% and a Zacks Rank #2 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks With the Favorable Combination

Here are three stocks you may want to consider, as our model shows that these have the right elements to post an earnings beat in this reporting cycle.

Expeditors International of Washington EXPD has an Earnings ESP of +3.76% and a Zacks Rank #3 at present. EXPD is scheduled to report first-quarter 2025 earnings on May 6.  

The Zacks Consensus Estimate for first-quarter 2025 revenues and earnings are pegged at $2.43 billion and $1.30 per share, respectively. EXPD’s earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, with the average surprise being 11.6%.

Church & Dwight Co. CHD has an Earnings ESP of +0.66% and a Zacks Rank #3 at present. CHD is scheduled to report first-quarter 2025 earnings on May 1.  

The Zacks Consensus Estimate for first-quarter 2025 revenues and earnings are pegged at $1.51 billion and 89 cents per share, respectively. CHD’s earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, with the average surprise being 9.6%.

Woodward, Inc. WWD has an Earnings ESP of +3.88% and a Zacks Rank #3 at present. It is scheduled to report quarterly figures on April 28. 

The Zacks Consensus Estimate for Woodward’s to-be-reported quarter’s earnings and revenues is pegged at $1.44 per share and $830.2 million, respectively. Shares of WWD have gained 20.2% in the past year.

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This article originally published on Zacks Investment Research (zacks.com).

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